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Handy Home sells windows (80% of sales) and doors (20% of sales). The selling price of each window is $330 and of each door
Handy Home sells windows (80% of sales) and doors (20% of sales). The selling price of each window is $330 and of each door is $760. The variable cost of each window is $190 and of each door is $480. Fixed costs are $940,800. (1) Compute the weighted-average contribution margin. Windows Doors Sales mix Contribution margin Weighted-average contribution margin (2) Compute the break-even point in units using the weighted-average contribution margin. Denominator: Numerator: 1 Total per unit = Break Even Units = Break Even Units 0 Sales mix (3) Compute the number of units of each product that will be sold at the break-even point. Number of units to break even. Unit sales at break-even point Windows Doors Total
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